Mattel Exploring Possibilty of Higher Prices for Non Sub Holders on Sale Day (DCUC)

[CRAZYMOTUFAN]

He says "KEEP IN MIND THAT THESE ARE THE PRICES WE HAVE BEEN PAYING SINCE 2008" Yeah and back then the prices were already high enough. Now they want to raise them.

And these are his own words:

look at DCUC, in 2008 they were at 9.99 and in 2011/2012 they are 14.99, yet MOTUC has not gone up

That might've worked if MOTUC had started at say $15 then raised to $20, but any more then $20+tax+shipping is getting out of control. Matty doesn't seem to care or realise about anything other then lining their pockets.

These are the kind of issues that need to be bought up at the Mattel Panel at SDCC. Instead they dazzle everyone with smoke,lights and mirrors (New Figs) and everyone just gets off track and don't ask the tough questions.

It sounds to me like Mattle is using more scare tactics so people would get locked into subs.

[Count Marzo]

Hope that helps!

Scott

Sounds very reasonable to me. Now, why not let me buy an extra Shadow Weaver or two for a non-Scalp-Or markup.

If you're not a subscriber, I wouldn't mind paying more for the "sub exclusive" figure. Not Scalp-Or prices exactly but obviously higher than the regular $20. I'd pay double that or more and rather the money go to Mattel towards MOTUC than towards supporting Scalp-Or and his plastic bag windows on his car that he sits outside Toys R Us every truck day morning in.

[Darkspecter]

Okay, what Toyguru said makes sense. If they thought they were going to get a certain amount of subscriptions (which they assumed they would get based on the last two years of subs) to keep production costs down, but didn't sell that many...it rises per item costs...yeah, it all makes sense. It REALLY sucks, but makes total sense.

It would have been nice to have that word out there before the subs went on sale. I do realize everyone at Mattel probably didn't even think it would be an issue though.

Here's my hypothetical question, Toyguru!:

If prices for day-of sales DO increase for 2012, but the subscriptions for 2013 reach 2010 levels, would the prices be brought down to the regular $20 mark?

[Mr_Yuck]

DCUC is a completely different animal than MOTUC. That line was in danger of going away entirely, and the sub needed to reach that 100% mark to keep it viable. That didn't happen, so I think this model makes sense give the circumstances.

Let's remember too, MOTUC has not had the challenges of moving inventory the way DCUC has. If you remember, most of their offering sat for a good long time on the Mattycollector. Yes, eventually they sold out, but we know from our experience with MOTUC that the timing of the sell out is important to their bottom line.

While I get that a price hike for DCUC isn't ideal, it makes sense. They are trying to give both subscribers and cherry pickers what they want. Also, I don't think MOTUC is danger of something like this for now. If sales drop, that might be a different story. I just don't see it right away.

Anyway, it makes sense that they would explore this option as a way to bring their customers the products they want and for it to still remain profitable.

[Toyguru]

He says "KEEP IN MIND THAT THESE ARE THE PRICES WE HAVE BEEN PAYING SINCE 2008" Yeah and back then the prices were already high enough. Now they want to raise them.

It sounds to me like Mattle is using more scare tactics so people would get locked into subs.

At Power Con we are going to present the C2E2 panel on "making an action figure". Most fans who saw this panel in Chicago found it very enlightening and came to realzie that for all the effort and work that goes into making a 6" figure, paying 20.00 is actually pretty inexpensive. These things are highly intensive to create. Based on the cost of raw material and labor, you really are getting an amazing deal. (although we resepct everyone' individual opinion of course!)

[gbagok]

Okay, what Toyguru said makes sense. If they thought they were going to get a certain amount of subscriptions (which they assumed they would get based on the last two years of subs) to keep production costs down, but didn't sell that many...it rises per item costs...yeah, it all makes sense. It REALLY sucks, but makes total sense.

It would have been nice to have that word out there before the subs went on sale. I do realize everyone at Mattel probably didn't even think it would be an issue though.

Here's my hypothetical question, Toyguru!:

If prices for day-of sales DO increase, if the subscriptions for 2013 reach 2010 levels, would the prices be brought down to the regular $20 mark?

As long as we're giving them the benefit of the doubt, they wouldn't have expected the need to get that word out. Also, if they had, even if it was just to be helpful, it would have been seen as a scare tactic by many.

[Toyguru]

As long as we're giving them the benefit of the doubt, they wouldn't have expected the need to get that word out. Also, if they had, even if it was just to be helpful, it would have been seen as a scare tactic by many.

Great point! You just can't please everyone all the time. But we do our best!

[Darkspecter]

The only thing I take away from this thread is that the ambulance chaser that posted the original rant in the Matty forums needs to take a chill pill.

Yeah, that "question"/threat was pretty extreme, in my opinion. I highly doubt they would do an increase like that. If they did, you could surely cancel your subscription and get a refund. That was just a lot of drama.

As long as we're giving them the benefit of the doubt, they wouldn't have expected the need to get that word out.

I said that in the sentence after the one you bolded.

[CocoaSmooth]

Not cool at all. If the prices go up on MOTUC for non-subscribers, then I am done collecting this line. I may be reading too much into this, but I think this is just another way to "buy the sub or else!" $20 is pushing it for figures with limited if any action features, quality issues, lousy customer service, etc...

See Ya! Feel free to come back when you come back to your senses! Just Kidding. It does seem kinda Jacked up but hey you gotta Pay to Play.

[Man-E-Toys]

Not cool at all. If the prices go up on MOTUC for non-subscribers, then I am done collecting this line. I may be reading too much into this, but I think this is just another way to "buy the sub or else!" $20 is pushing it for figures with limited if any action features, quality issues, lousy customer service, etc...

same here, man. if i'm going to be punished for cherry picking then i don't care if the line dies.

[Emiliano]

A general price increase sounds reasonable for following years. I hear about the increasing prices in the industry all the time myself, and this is probably one of the things I won't hold against Mattel at all.
An increase in prices had to be expected sooner or later, and I'm prepared to that.
Everything has rised priced, and I think people are being more careful and just couldn't commit to the sub as much as they did in the past years.

But Scott, I surely hope you guys won't understimante regular monthly sales. Maybe (and I ahve my finger crossed) eventually those will partially make up for the lower sub numbers.
That's why I was a little concerned with the lower figures number on regular monthly sale. I guess you guys will be able to readjust again if you'll notice an increase (well, faster sellouts) in regular sales. Just try to not dive too many fans nuts
(and of course, reissue can always be brought back for highly demanded characters if there is need for that, right?)

[BadVermin]

I have difficulty justifing the current $30 price (w/shipping), an increase would just mean I'd skip even more figures and become more of cherry picker.

[Lipster]

I am all for a price-cut/non-increase for subscribers. So if mattel wants to add a dollar to or 2 to every figure/beast they sell I am all for it. That means subscribers get another price break (shipping being the first). I know that $600 sounds like alot of money for the sub but people if you buy a figure each month you are not saving on the shipping. I know by getting the sub and them including the 30 anniversary figs in shipping that I will save easily $80 I may not like everything BUT I just got about 4 figures free. Plus the time it saves you infront of the pc to buy them day of is worth it.

Just go out and sell some plasma

[Nessyb]

IT'll be what it'll be.. It'll just be a few less Timmy runs, or atleast down size from xlg-med..

[gbagok]

I said that in the sentence after the one you bolded.

You seemed to be contradicting yourself, but you repeated it and I should have said, "as you pointed out" for a disclaimer. The main point for me is the scare tactic charge.

[Mr_Yuck]

same here, man. if i'm going to be punished for cherry picking then i don't care if the line dies.

It's not a "punishment" at all. It's a cost of getting the product out to their customers who want their merchandise, and it's not unreasonable.

Again...Scott even said that this doesn't impact MOTUC...so I don't think it's time to panic.

[The.Idea.of.Evil]

The comparison of the sub to a magazine subscription it moot. If a magazine subscription was anything like Mattel's we'd have no idea what the quality of the magazine issues would be past the next six. One magazine could come with one staple and with non glossy pages while the next one after that could be five pages and only in black and white. Sure, the overall content is always gonna be the same with each month being about a different specific subject, but why would I buy an entire sub/subscription where there's a high chance that the quality of some of the releases would feel like a rip off to me?

What needs to change is Mattel's unwillingness to work with fans for their line for that entire year in advance. If I knew what a sub held for me, felt comfortable that Mattel would be willing to hear my opinion on what works and what didn't with any specific figure, and not be treated like the child this supposed "Adult Collector" line is for, then maybe I'd get a sub. But as it is right now all I'm constantly given are excuses as to why I need to be forced to buy every figure so that the line won't die out.

Upping the cost of the line is expected after all this time, but until Mattel changes their method of business to working with the fans and not against them, the justifying of the cost increase is a pointless topic for me in any case.

[MegaGearMax]

Scott even said that this doesn't impact MOTUC...so I don't think it's time to panic.

Not yet, but the MOTUC 2012 subs are the lowest that they've ever been.

We don't know at this point if we are even going in this direction for any subs, but it is something being reviewed since all of the subs were down (and DC did not even hit the bare min we need to move forward! At least MOTU did that!).

[Lizard Man Fan]

It's not a "punishment" at all. It's a cost of getting the product out to their customers who want their merchandise, and it's not unreasonable.

Again...Scott even said that this doesn't impact MOTUC...so I don't think it's time to panic.

I don't want to speak for Man-E here, but I think the concept of punishment comes from the fact that this price increase would only target non-subscribers. If they would retroactively apply it to 2012 subscribers as well (so that it would be a truly across-the-board price increase) then I think the idea that it's offsetting production costs sounds (slightly) more reasonable.

The cost of raw materials and labor has gone up since 2008 for all of the figures that subscribers will be buying too, right?

[Darkspecter]

You seemed to be contradicting yourself, but you repeated it and I should have said, "as you pointed out" for a disclaimer. The main point for me is the scare tactic charge.

I just meant: I wish they told us...but understand why they didn't...because they didn't even think it was a possibility!

It just sucks all around. I'm really curious why sub numbers are down so much for 2012. I'll really have to read those threads. I know a lot of people were peeved at Shadow Weaver being the sub exclusive. Hopefully that didn't turn too many people off.

[Shecky]

I am all for a price-cut/non-increase for subscribers. So if mattel wants to add a dollar to or 2 to every figure/beast they sell I am all for it. That means subscribers get another price break (shipping being the first). I know that $600 sounds like alot of money for the sub but people if you buy a figure each month you are not saving on the shipping. I know by getting the sub and them including the 30 anniversary figs in shipping that I will save easily $80 I may not like everything BUT I just got about 4 figures free. Plus the time it saves you infront of the pc to buy them day of is worth it.

Not at all. Shipping is going up, actually.

I've subscribed the last 2 years, and thought about subscribing this year. The method of shipment is UPS Ground, and for 1 figure it cost $8.80 to ship (before taxes). When I put Club Eternia 2012 in my shopping cart, I chose UPS Ground as the method and saw that it rose from $8.80 to $13.55, a $4.75 increase. Thinking this was a mistake, I deleted it from my cart and as a test put a Buzz-Off in my shopping cart. Nope, the $13.55 shipping fee via UPS Ground still read as $13.55. The crazy thing is, I added in 9 more Buzz-Offs and the overall shipping fee rose by only 2 dollars. To ship one figure via UPS Ground it now costs $13.55, but if you buy 10 figures the overall shipping fee is $15 and change.

Regards,
Victor P.

[Firefly]

When the amount of figures produced increased greatly over the years, we never got a price decrease for the decrease in the price per figure that results from that. It went straight to more profits for Matty.

[Count Marzo]

Also, it doesn't cost anything extra in taxes and shipping for a magazine subscription each month. **** adds up.

[Mr_Yuck]

I don't want to speak for Man-E here, but I think the concept of punishment comes from the fact that this price increase would only target non-subscribers. If they would retroactively apply it to 2012 subscribers as well (so that it would be a truly across-the-board price increase) then I think the idea that it's offsetting production costs sounds (slightly) more reasonable.

The cost of raw materials and labor has gone up since 2008 for all of the figures that subscribers will be buying too, right?

The problem with that is as subscribers, they have already legally locked us into place from a cost perspective. They laid out what the cost of the sub was when they had their sign on period, so I think from a legal stand point they can't do that.

My other point to that is..why should the subscribers have to pay more? They are committing ALOT more of their money towards the success of the line by entering into the commitment, so it makes sense that they should be charged a lower price. It's just like any other kind of business or service where you have options of commitments or no commitments. If you don't want the burden of a commitment, you're going to pay a higher price for the product or service you purchase.

[Lizard Man Fan]

My other point to that is..why should the subscribers have to pay more? They are committing ALOT more of their money towards the success of the line by entering into the commitment, so it makes sense that they should be charged a lower price. It's just like any other kind of business or service where you have options of commitments or no commitments. If you don't want the burden of a commitment, you're going to pay a higher price for the product or service you purchase.

I don't disagree with what you're saying. That's certainly a viable business model (look at the discount warehouses that charge membership dues in exchange for lower prices, for example).

Where you're seeing friction is becuase there have been a lot of recent announcements that suggest Mattel is trying to change its business model after the customer base has already been established (to be more subscription-oriented).

It would be like your local grocery store suddenly transforming into a warehouse. People who have been shopping there for a while under the old model would probably be upset.